It’s been a busy start to the year, with deals coming out left, right and center as corporates get cracking on their fundraising strategies for 2018. And with banks seeking to conserve their capital and boost reserves ahead of Basel III implementation

A supply chain finance provider in the UAE recently announced plans to launch one of the first ever corporate Sukuk directed at retail investors, in a pioneering move that could open up a whole new pool of liquidity for issuers seeking to

The Malaysia Building Society (MBSB) in November announced plans to swap its structured covered Sukuk with a new covered issuance from its recently acquired subsidiary Asian Finance Bank, pending Sukukholders approval. But what is a covered Sukuk, and what benefits can it

For corporates keen to raise capital in the public domain, a credit guarantee can be a valuable stepping stone – allowing them to obtain better rates at lower risk, and offering new entrants a tried and tested route to market. In 2009,

There is more to the capital market landscape than just Sukuk, and this month we switch sides to look at the Islamic equity market. Is there such a thing as an Islamic IPO, is it worth it, and how can corporates capture

It has been a relatively quiet month in the Islamic capital markets, as the summer holidays dampen activity and the recent sovereign issuances from Saudi Arabia, Pakistan, Indonesia and Turkey swallow up liquidity and crowd out the corporate sector. However, the year

In June this year, the Omani capital market welcomed an inaugural Islamic debt offering from Meethaq bank that included an unusual greenshoe option utilized to increase the issuance to almost double its original size. More commonly used in the equity capital markets,

This month we explore the simple yet sometimes controversial structure of Salam, usually defined as the sale of a specific commodity delivered at a fixed date in the future in return for full payment on spot. The contract offers versatility in terms

Once you have decided to take the step of raising funds in the Islamic debt capital market, one of the first and most important decisions will be whether to choose a private placement or public listing for your transaction. Both have their

Islamic bonds can be hard enough to understand on their own, with many potential first-time issuers intimidated by their perceived complexity. But an increasing number of issuances have started to use hybrid structures, mixing up two or more contracts to create a

The Sukuk market has yet again exceeded expectations: total Sukuk issued over the last 12 months amounted to US$37.8 billion, compared with US$35.4 billion the previous year, according to the latest 12-month rolling data from Dealogic. As we come to the end

The World Bank and the Islamic Development Bank in 2017 published their first ever Global Report on Islamic Finance, a move that highlights the increasingly mainstream appeal of the sector. The report, entitled ‘A Catalyst for Shared Prosperity’, emphasizes the ethical nature

One of the concerns about the Sukuk market can simply be familiarity. “I don’t know this sector, so why should I get involved?” In particular, the Islamic aspect can provide pause for thought if entrants are unfamiliar with the processes needed to

Ahmad Fairuz Zainol Abidin, the deputy CEO of the Securities Commission Malaysia, confirmed this month that the Islamic capital market (ICM) in Malaysia more than tripled in size between 2005-15, reflecting a compound annual growth rate of 12%. The market reached RM1.7

In Malaysia, domestic borrowing costs in October fell to a three-year low – which has stimulated a surge of issuance in the capital markets as corporate borrowers seek to lock in favorable rates. With yields at their lowest in years and uncertainty

From October 2016 JPMorgan will add eight Sukuk to its emerging markets index family, in a groundbreaking move that is expected to dramatically increase the profile of Islamic capital instruments, boost liquidity and stimulate global investor interest. We take a look at

Cross-border trade across two of the biggest Islamic markets in the world is poised for growth following a ground-breaking new agreement between financial regulators. In August, Malaysia and Indonesia formally agreed to grant greater access and operational flexibility to banks operating in

Islamic finance is playing a progressively major role in both public and corporate financing, as players realize its potential as a viable source of funding in the current low liquidity environment. But rather than looking at Islamic options as an alternative, corporates

Islamic bonds have hit the headlines this month as media channels from CNBC to the BBC jump onto the bandwagon with predictions of mainstream success within the next five years. And why? Because a new trend for standardization of transactions will make

As we near the end of the second quarter, the outlook for Sukuk is looking good as the concern surrounding interest rate increases, the strengthening of the US dollar loses momentum and much of the impact has already been priced into the